FXWW News/Technical Analysis/USD/JPY

USD/JPY techs: Initial target at 100.80

  • Market is caught long and is in retracement mode;
  • NFP day is usually a big day for USD/JPY volatility;
  • Resistance levels now start around 102.20/30;
  • Strong technical support levels start near 100.80 (see chart).
  1. That’s a wee way down isn’t it

    I didn’t think we’d see it go to 100.80 – I was thinking more around 101.50 and stay there until NFP and depending on that result will see the next move

    I do agree with traders being caught long though you can see them hurting now

    Probably not =))

  2. Sean, this market does not make sense. Does it. Good data from US and Usd falls. I thought more chance of taper more likely usd rally. Am I missing something

  3. Just positioning at play here I’d say, USD/JPY had a nice run up in November, and the NFP data is notoriously unpredictable. So I can’t blame the shorter term players for wanting to take some chips off the table ahead of the numbers, especially with the USD/JPY move not having retraced 1/3 yet. Even if NFPs are good, it might just be a good short term profit taking opportunity.

    EUD/USD and USD/CHF I have less clue, but maybe the idea of deflation in that region makes those currencies look more attractive in terms of holding their value than the USD?

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